Audits by Mail–What to Do?

The IRS conducts many types of audits each year to verify income and expenses claimed on tax returns. Many of these audits are conducted by mail.

If you receive an audit by mail, be sure to read the letter carefully. The letter explains the issues involved and outlines the types of information you need to send in to the IRS. The IRS may ask for an itemized list of the expenses or deductions in question. If you’re not able to verify an amount claimed, just explain the issue and how you determined the amount you claimed on your tax return.

After you’ve collected the requested information, attach photocopies of the documents to your audit letter and mail them back to the IRS. Don’t send original documents, and be sure to keep copies of everything you mail. You can also fax in your documents to the IRS as long as you put your name and Social Security number on each page.

Be sure to send in the requested documents to the IRS within 30 days. If you need additional time, be sure to request it. The IRS will review your information once it is received, and will then send you another letter either accepting your information or proposing changes to your tax return. If you understand and agree with the proposed changes, sign and date Form 4549. Then mail it in along with your check. If you disagree with the proposed changes, you have the right to appeal, both within the IRS and with the courts.

For more information, go to IRS.gov/audit.